Frequently Asked Questions

No. The Plan 3 statement represents only the defined contribution part. Plan 3 also has a defined benefit part. You do not receive a defined benefit statement, but you can log into your account from the DRS website to see your service credit years.

Yes. Plan 3 is a hybrid plan with two parts. It has both a defined benefit (pension) and a defined contribution (investments). To receive your pension you must meet age and service credit requirements. For more information on the defined benefit (pension), go to the DRS website.

There is a COLA (cost of living adjustment) on the defined benefit portion of Plan 3. Your amount will be adjusted on July 1 of every year following your first full year of retirement. Your monthly benefit will be increased up to 3% per year based on the Consumer Price Index.

It is possible. If you leave service before age 65 and have 20 or more service credit years, your defined benefit amount will increase by approximately 3% annually until you start receiving your payment or age 65, whichever is sooner.

No. Your contributions stay in your account and continue to be invested. You can leave your balance in your account and maintain control over your investment choices or choose one of the payout options available upon leaving service.

No. Your contributions stay in your account and continue to be invested. You can leave your balance in your account and maintain control over your investment choices or choose one of the payout options available upon leaving service.

Your employer's contributions do not appear on your Plan 3 statement because they pay for the defined benefit component. Those contributions will fund a guaranteed monthly benefit for the rest of your life. You can estimate your monthly defined benefit by visiting the DRS website, logging into your account, and running an estimate. Quarterly statements are issued only for the defined contribution part of your retirement plan.

No. Your employer contributes to the defined benefit side of Plan 3. Those contributions will fund a guaranteed monthly benefit for the rest of your life. The amount they contribute will fluctuate based on actuarial needs. They are not matching funds, and you cannot withdraw them if you leave public service. You do not see employer contributions on your quarterly statement.

The monthly dollar figure is on your paycheck, your statement, and in Account Access. You can do a quick calculation to find the percentage rate, or you can contact your employer's payroll/benefits office.

Not automatically. Contributions from your paycheck must go into one investment program or the other. However, once the money has deposited you can transfer any amount into the other investment program (or other funds) by calling the Plan 3 Investor Services team at 888-711-8773. So, it is possible to have auto-deposits into one fund, but transfer some portion of that deposit into the other program.

No. Plan 3 does not accept money from rollovers. If eligible, you may be able to use the money in your former employer's retirement account to purchase out-of-state or additional service credit. Visit the DRS website or call a Retirement Services Analyst (800-547-6657) to discuss your specific situation.

Choosing an investment program is a personal decision you should make after evaluating your risk tolerance and desired involvement level. You may decide you want to invest in only one asset category, or you might like the diversification in the WSIB TAP Fund. If you find you don't have the desire, comfort level, and/or time to devote to your investments, you may prefer to be invested in the Retirement Strategy Funds. Detailed fund information can be found on the Investments menu of this site.

The WSIB TAP Fund is an aggressive investment. The Retirement Strategy Funds could either be more aggressive or more conservative, depending on which Retirement Strategy Fund you select. The higher the year, the more aggressive the fund is. The lower the year, the more conservative the fund is. So, for example, the 2020 Retirement Strategy fund is more aggressive than the 2015, 2010, 2005, or Retirement Maturity Strategy funds. Remember, however, that the Retirement Strategy Funds become more conservative over time. Because the mix of the TAP Fund can change over time, it isn't possible to say that the TAP Fund is always more or less aggressive than any particular Retirement Strategy Fund.

Plan 3 offers investment funds not individual stocks or bonds. Consequently, the level of risk associated with each investment is reduced because the investment is diversified. That means if one company in a fund performs poorly, the performance of other companies may provide an overall gain. You can see the top ten holdings on each investment by looking at the fund sheets from the Investments tab.

Your contributions are put into investment funds. Those investment funds are subject to market fluctuations. Some months you'll see increases in value, and other months you'll see losses in value. If you do not sell out of your investments, then the losses you are seeing are unrealized, meaning it is possible for the fund to gain back the value it lost. The reverse would be true for any gains you see.

To be assured that your contributions are adding value to your account, check the number of shares you own. You'll see that rise every month when you contribute money to your account.

Your investments will continue to rise or fall based on the performance of your funds. Remember, you can adjust how conservatively or aggressively your money is invested to meet your risk tolerance and time horizon. Simply log into your account or call the Plan 3 investor services team at 888-711-8773.

The WSIB TAP fund is a monthly valued investment. Valuations occur at the end of the following month. For example, July's performance is determined at the end of August. The share price of the fund will not change during the month. Therefore, period specific performance is not available. Monthly performance for the TAP fund can be viewed from the Investments tab.

You can make changes to your investments at any time, even after retirement. Changes can be made via phone 24 hours a day at 888-711-8773, or, by speaking with a Plan 3 investor services representative between the hours of 5:30 a.m. and 6:00 p.m. Pacific Time. You can also log into your account and make changes online. Please note that transfers between the WSIB TAP Fund and Self-Directed funds must be done with a Plan 3 Investor Services Representative.

Yes. You can change your investments at any time. Changes can be made via phone 24 hours a day at 888-711-8773 or by speaking with a Plan 3 Investor Services Representative between the hours of 5:30 a.m. and 6:00 p.m. Pacific Time. You can also log into your account and make changes online. Please note that changes between the WSIB and Self-Directed Investment Programs must be done over the phone by speaking with a Plan 3 investor services representative.

To move funds to or from the TAP Fund, you will need to contact a Plan 3 Investor Services Representative at 888-711-8773 between the hours of 5:30 a.m. and 6:00 p.m. Pacific Time, Monday through Friday. Because the TAP Fund is valued only once a month, the transfer of funds can take up to 60 days to complete. If you would like more information concerning the timing of the transfer process, please see page 8 of the Plan 3 Investment Guide.

Also, remember that your payroll department makes a deposit into Plan 3 based on instructions that you have given them. If you would like your contributions to be directed to the same funds as your current balance allocation, you must fill out a Change of Investment Program form and return it to your payroll/benefits department.

When you leave Plan 3 employment, you are entitled to withdraw or roll over the money in your defined contribution account. You may also leave your money invested in your account even after you've left service. Your account balance would be subject to market fluctuations.

With a diversified selection of investments and easy-to-use account access features, Plan 3 offers many advantages to members. The most compelling advantage is the low fees associated with the investments in the plan. By rolling your money out of the plan, you may be subjected to administrative fees, redemption fees, 12(b)-1 fees, account maintenance fees, investment management fees, and withdrawal fees. Plan 3 has a low fee structure that is superior to almost all other investments available. Typically, Plan 3 is a fraction of the cost of the average mutual fund.

To be eligible for a withdrawal, you must separate from Plan 3 service. Under current law, if you receive payments before age 59 1/2, you may be required to pay a 10 percent tax in addition to your ordinary income taxes on the distribution. There are exceptions to this rule. Please consult the IRS or a tax advisor to learn more about the tax consequences of withdrawing.

Yes. This flexibility is a benefit of a hybrid retirement plan. You can begin withdrawals from one side without touching the other side of the plan. Many people chose to withdraw only from their defined contribution account and leave the defined benefit payments until they reach full retirement age of 65.

You can leave your money in the plan until you're ready to begin taking payments, or you can begin taking payments from one or both sides of the plan (provided you are age 55 or older and have at least 10 years of service credit). Your defined benefit is reduced if you retire before age 65.

If you elect to leave both sides of the plan alone, you don't have to do anything until you're ready to begin receiving payments.

Notify your employer of your termination date. They will upload your termination date through their automatic payroll system. The timing is different at every employer, so please check with your payroll department on when your termination date will be sent to DRS.

For lump-sum payments, shares are redeemed daily if received by 1:00 p.m. Pacific Time in good order, and if the 30-day waiver is checked, the checks or direct deposits are issued the next business day. One caution: if there is after-tax money in your account, allow an additional 1-2 business days.

For scheduled payments, shares are redeemed on the 15th of every month, and checks or direct deposits are issued on the next business day. If the 15th falls on a weekend, then this occurs on the next business day.

The WSIB Investment Program TAP Fund is a monthly valued investment. Valuation for the current month occurs on the last business day of the following month. Withdrawals cannot occur until a valuation has been placed on the TAP Fund. Therefore, if you request a withdrawal on or before the third-to-last business day of the month and your paperwork is in good order, you will be paid on the 2nd business day of the month after valuation occurs, or approximately 34 days after you put in your withdrawal application. See the WSIB Withdrawal Timeline Example.

You can eliminate a withdrawal delay by transferring the money you'll need from the TAP Fund into a Self-Directed Fund 34-70 days before you need the check. With money in the Self-Directed Funds, if your paperwork is received in good order and a separation date is on file, your distribution will be posted that business night and a direct deposit can be made on the next business day for lump-sum payments. The direct deposit is normally received by your banking institution one business day after we send the funds out. Please remember to put a checkmark in the 30-day waiver box on the Request for Payment of Defined Contribution Funds application to avoid a 30-day delay.

Yes, but you'll have to move funds from the Self-Directed to the WSIB Investment Program in order to complete your TAP Annuity purchase. You can do a whole or partial transfer to accomplish this purchase.

Paperwork sent through the mail may take several days before it reaches our office. You have the option of adding a “confirmation of receipt” notice to your envelope at the post office. This will provide you the exact date we have received the paperwork.

If you're currently receiving scheduled payments or have purchased an annuity but still have funds in your Plan 3 account, you can add a lump-sum payment at any time by filling out the paperwork to indicate you'd like a lump-sum payment.

No. Plan 3 does not accept money from rollovers. If eligible, you may be able to use the money in your former employer's retirement account to purchase out-of-state or additional service credit. Visit the DRS website or call a Retirement Services Analyst (800-547-6657) to discuss your specific situation.

No, there are no transaction fees for switching funds. Each fund has its own management fee so your total fees will either increase or decrease depending on the management fee of the fund that you switched to.

The fees for your investments are paid as part of the reconciliation of your funds. In other words, the balance you see in your account is after fees. When the balance is calculated, the fee is included in any gain or loss your account experiences. You do not receive a bill or an annual deduction from your account. The balance you see is your actual account balance.

If you are still employed under Plan 3, you must contact your payroll department and update your address with your employer. Your address will then be electronically updated here at ICMA-RC.

If you are no longer employed under Plan 3, you may contact us at 888-711-8773 between the hours of 5:30 a.m. and 6:00 p.m. Pacific Time, Monday through Friday and a representative will gladly assist you with the address change. For security reasons we are not permitted to change addresses through email requests.

Alternatively, you can download a copy of the Name Change/Address Change form from the DRS website. Please return the completed form to DRS. Once you have updated your address with DRS, they will electronically update our system here at ICMA-RC.

Before you retire, be sure to change your name through your employer and fill out a copy of the Name Change/Address Change form on the DRS website. After you retire, you only need to fill out the form. Please return the completed form to DRS. Once you have updated your name with DRS, they will electronically update our system here at ICMA-RC.

Not from the ICMA-RC website. However, you can now view all of your retirement accounts with one user ID and password by logging into DRS online account access. In the past, if you had more than one retirement account, you were required to log on to each of your accounts separately with a different user ID and password. In some cases, that meant three different user ids and passwords you had to keep track of.

Certain settings on your browser may be preventing you from resetting your information. The best course of action would be to log into your account from the DRS website. Single sign-on allows you access to all your retirement accounts. Once you're logged into your DRS account, you can click on the link for your Plan 3 investments and you'll be redirected to your Plan 3 account. If you need help with using online account access for single-sign on use, please call DRS at 360-664-7000, or toll-free (outside the Olympia area) at 800-547-6657.

For security reasons, we are unable to provide specific account information or make changes to your account and account profile (including email addresses) through email requests. To protect the security of your account data, you must call our Plan 3 Investor Services team to verify your identity in order to provide the information or assistance you seek. For your convenience, our toll free investor services line is available twenty-four hours a day, automated, or from 5:30 a.m. to 6:00 p.m. Pacific Time, Monday through Friday. Call 888-711-8773, press 1, then press 0 to reach an investor services representative.

If you are in the Self-Directed Investment Program, statements are mailed 10 days after the quarter ends. If you are in the WSIB Investment Program, statements are mailed 45 days after the quarter ends. If you are in both, you will receive two statements, one 10 days from the end of the quarter and one 45 days from the end of the quarter.

For members who would like to see the quarterly information sooner, you can sign up for electronic statements by logging into your account.

The WSIB Total Allocation Portfolio is a monthly valued investment. When you make a contribution each month, your money goes to the Short Term Contribution Interest Fund where it will earn interest for up to 30 days until the next Total Allocation Portfolio valuation. At that time, your contribution plus the interest earned in the Short Term Contribution Interest Fund will be transferred to the Total Allocation Portfolio.

When you were an instructional aide, you were in SERS Plan 3. Now that you're a teacher, you're in TRS Plan 3. Those are two different systems, making you a dual member. The investment accounts cannot be combined.

If you are receiving four statements, you are invested in both the WSIB and Self-Directed Investment Programs in both accounts. To reduce the number of statements you receive, you can transfer the balance in one program to the other for both your SERS and TRS accounts. You'll want to make sure your contributions are being directed to the same investment program in your current TRS account. This will bring your statement count down to two: one for SERS and one for TRS.

Perhaps the best way to manage these multiple statements would be to sign up for electronic statements so that you won't be receiving two/four different paper statements. You can do this by logging into your account.

Your service credit years transfer with you to Plan 3. The service credit requirement to collect the defined benefit for Plan 3 is 10 service credit years, or 5 service credit years with 12 months earned after age 44.

No. New hires have 90 days to make their plan choice between Plan 2 and Plan 3. Once they've made that decision, it is irrevocable. Only members who were in Plan 2 before the creation of Plan 3 in their retirement system are able to switch to Plan 3 during the January transfer window.

Upgrading to Serve You

Beginning Oct. 1, Empower Retirement will be the new record keeper for PERS, SERS and TRS Plan 3 accounts. We’ll keep you informed every step of the way. For more information, visit the upgrade page on the DRS website.